Report: Macquarie Bidding on AIG’s Asset Management Unit

NEW YORK (Reuters) – Macquarie Group Ltd. (MQG.AX), Australia’s biggest investment bank, is bidding for American International Group Inc’s (AIG.N) asset management unit, Bloomberg said on its Website late Thursday.

Macquarie is among several firms pursuing New York-based AIG Investments, which has about $100 billion under management, the report said, citing two people with the knowledge of the matter.

A Sydney-based spokeswoman for Macquarie Group declined to comment on the report on Friday.

AIG put its fund management unit up for sale in January in an auction expected to yield as much as $500 million, the report said.

The sale is part of a larger divestiture program by the insurer as it looks to sell assets and raise cash to pay back federal loans. The U.S. government has committed about $180 billion in AIG’s rescue, including about $80 billion in loans the insurer is trying to repay with these sales.

(Additional reporting by Denny Thomas; Editing by Anshuman Daga)